Marriott will bring Courtyard brand in Romania

Marriott international hotel chain, currently operating the 5 star hotel JW Marriott in Bucharest, will enter the market in Bucharest with the 4 star brand Courtyard, which will be implemented within 2 years.

The contract has already been signed with a real estate developer. Construction works for the hotel will start this year. The hotel will have 187 rooms according to real estate market sources.

The investment could range between EUR 14 and 18 mil., considering a cost per room between EUR 74,000 and 100,000.
 
According to some previous statements of Mariott’s representatives, the hotel group could introduce Courtyard brand in other Romanian cities, as well, such as Brasov, Sibiu, Constanta, Sinaia or Targu-Mures.

JW Marriott’ representatives in the capital refused to make any comments to this information and did not specify the name of the real estate developer with whom the contract was signed.

Prices on lands dropped, construction works cost less, so it is the right moment to develop hotels, to be be completed within 2-3 years, stated Adela Cristea, Development Manager of Hilton for Europe and Africa, within the seminary Why Romanians hotel development is heating up, even as the economy cools.
 
Cristea added that Bucharest needs hotels on middle and long term, especially luxury brands.

Real estate developers consider it is the moment of investments in real estate projects, especially on retail and office segment as the local market has potential for recovery within 2 to 3 years. 

The main reason seems to be the decrease in prices of lands and construction materials, which can significantly increase the return on investment, due to a fast recovery of the real estate market.

Sursa: Ziarul Financiar [05.06.2009]